NJ A4254

Prohibits New Jersey colleges and proprietary institutions from withholding transcripts from students who owe $2,000 or less in non-mandatory charges, provided those charges were not covered by federal Title IV aid or state financial aid programs

Allows institutions to require students owing any amount for tuition, room and board, or mandatory fees (or over $2,000 in non-mandatory charges) to enter a good faith repayment plan and make a first payment before receiving transcripts

Requires institutions to provide transcripts for payment periods where credits were paid through federal or state financial aid and institutional charges were covered or under a payment agreement

Prohibits withholding transcripts or taking adverse action against students when debt resulted from institutional errors in administering federal aid or from institutional fraud or misconduct

Violations constitute an unlawful practice under the Consumer Fraud Act, and institutions must post transcript release policies on their websites; the law does not forgive student debt or prevent institutions from withholding diplomas